By: AGBI

State-owned energy companies in the UAE and Qatar have struck long-term liquefied natural gas (LNG) deals with international companies.

The UAE’s Adnoc has signed its third agreement to supply LNG from its Ruwais plant.

The 15-year deal is with Germany’s energy infrastructure company, EnBW Energie Baden-Württemberg AG (EnBW), and will deliver 0.6 million tonnes per annum (mtpa) of LNG.

The Ruwais project, being developed at Al Ruwais Industrial City in Abu Dhabi, aims to begin deliveries in 2028. More than eight mtpa of the project’s 9.6 mtpa production capacity will be shipped to international customers through long-term agreements.

This will be Adnoc’s second LNG deal with a German company for the Ruwais project. It signed a 15-year contract last month to supply 1 mtpa of LNG with Sefe Marketing and Trading Singapore Pte, a subsidiary of Germany’s Sefe Securing Energy for Europe.

The agreement aligns with the UAE-Germany energy security and industry accelerator agreement, signed by the two countries in 2022. It aims to advance cooperation in energy security, decarbonisation and lower-carbon fuels.

Peter Heydecker, an EnBW board member for sustainable generation infrastructure, said the company will continue to work with Adnoc to develop other LNG projects and adjacent businesses.

Last month, Abu Dhabi-listed Adnoc Gas said it expects to acquire Adnoc’s 60 percent stake in the Ruwais LNG project for an estimated $5 billion in 2028.

The installation comprises two 4.8 mtpa liquefaction trains with a combined capacity of 9.6 mtpa. It will more than double Adnoc Gas’ existing LNG production capacity to 15 mtpa.

Qatar, meanwhile, has finalised a five-year LNG deal with Gail, India’s largest natural gas company, Reuters reported citing three sources.

QatarEnergy Trading, wholly owned by QatarEnergy, will ship one cargo a month to the Indian company from April. Last month, Adnoc Gas signed a 10-year deal with Gail to supply 0.52 mtpa of LNG starting in 2026.